MercoPress. South Atlantic News Agency
Argentina limits daily financial transaction per person to 1.000 Pesos (230 dollars)
Argentina limited the use of cash in the country’s financial markets as President Cristina Fernandez tightens oversight of currency transactions to help contain capital flight and prepare for what is anticipated a ‘difficult’ year for the Treasury and the Argentine economy. Read full article
Comments
Disclaimer & comment rulesDown, down, down she goes,
Feb 09th, 2012 - 10:21 am - Link - Report abuse 0Where she stops, nobody knows!
this information is wrong http://www.ambito.com/noticia.asp?id=623621
Feb 09th, 2012 - 11:19 am - Link - Report abuse 0HAHAHA! Mercopress giving the wrong information... yet AGAIN!
Feb 09th, 2012 - 11:49 am - Link - Report abuse 02 horacioyanes
Feb 09th, 2012 - 03:14 pm - Link - Report abuse 0How is ot incorrect. I have read this notice and cannot see that MercoPress has it wrong at all.
3 Rubino84
Try reading it for yourself (if you can) before you follow @2.
Cristina is just trying to stave off a sudden run on the banks. Dark times ahead.......
Feb 09th, 2012 - 03:37 pm - Link - Report abuse 0Oh dear, remember 2001? This was the move that was the straw that broke the camel's back. If it is true..... they are in much worse shape than I imagined.
Feb 09th, 2012 - 04:10 pm - Link - Report abuse 0@ElaineB: dear Elaine, in this occasion the measure only affects cash transactions in the stock, bond and futures markets (+investment funds). Perhaps not the best scenario, but still quite different from 2001 (all bank accounts affected -“corralito”-)
Feb 09th, 2012 - 04:34 pm - Link - Report abuse 0@7 It is still stopping people from having free access to their own money. Who would invest in Argentina? It is measures like this that cause capital flight.
Feb 09th, 2012 - 04:41 pm - Link - Report abuse 0this information is wrong. MercoPress what happens? Are you nervous?
Feb 09th, 2012 - 04:42 pm - Link - Report abuse 0@9 Maybe they are trying to start a run on the banks?
Feb 09th, 2012 - 04:55 pm - Link - Report abuse 06 ElaineB “Oh dear, remember 2001?”
Feb 09th, 2012 - 05:01 pm - Link - Report abuse 0You sound like an old jeaulous lady waiting for her beautiful neighbor to die.
#8 you probably never stood in line at the bank waiting for your money to be returned to you, if you can wait for the bank to return money you deposited why should US dollars be any different ?? in any case if you cash more then 200$ US a day you don't live in Argentina or use local money for this reason your investment can never be faster or easyer then using local money, I think people who has poblems with the procedures should move to USA where they will have none of the problems, nobody in Argentina like pesty people.
Feb 09th, 2012 - 05:38 pm - Link - Report abuse 09 ElCura
Feb 09th, 2012 - 05:38 pm - Link - Report abuse 0“que pasa port salud, estas cremoso?”
Now it's understandable why the Kirchner-Fernandez dynasty is desperately trying to keep entertained and distracted ordinary Argentinians with nonsense related to the Falklands...apparently, the economic outlook of Argentina is very precarious and more financial troubles can be seen on the horizon.
Feb 09th, 2012 - 06:04 pm - Link - Report abuse 0It is just more ratcheting down of Peso to U$ conversion. A share of stock ultimately not priced in pesos, so RGs can protect their savings by buying US UK EU firms stock which is traded in U$, Pound Euro.
Feb 09th, 2012 - 06:08 pm - Link - Report abuse 0They are doing everything they can think of to keep people in Pesos instead of U$. In the end it won't work all they can do is try to slow it down.
The rumor of devaluation is Arg 10-14/1U$. I was thinking 6 but I have been hearing 10-14. Gov't has been telling people peso will be devaluted 10% for 2012, can you imagine? A stated gov't goal is to reduce people's wealth by 10% and no one cares. It just shows you how stupid and complacent these people are.
Now do you understand why people buy cars and property? You buy in Pesos at the beginning of the year is ( at least) 90% of what you will pay at the end of the year. So even if it is used it kind of goes up in value.
@ 11 Nothing to contribute to the discussion, as usual? Jog on.
Feb 09th, 2012 - 06:09 pm - Link - Report abuse 015 yankeeboy
Feb 09th, 2012 - 06:28 pm - Link - Report abuse 0You are stretching the bounds of reason now, expecting the usual suspects of understanding what is effectively depleted cash flow analysis. :o)
13 Welsh Wizard: jajajaja very good!!
Feb 09th, 2012 - 06:35 pm - Link - Report abuse 0@12 Pirate - Who do you think those with money want it back and want to avoid the national currency of Argentina?
Feb 09th, 2012 - 07:33 pm - Link - Report abuse 0Is it because your currency is more worthless than toilet paper?
Hmmmm, perhaps you lot should simply exchange it for Falkland Islands pounds, at least then you would be able to use it to buy shares in RKH.
17. Based on recent events I think the best buy out there is a tube of Colgate, they should start hording toothpaste!! It is caught in customs, which is paid in U$ so by the end of the year you can resell it for probably 40% more pesos after you add for inflation and peso depreciation!! HAHAHAHAHA
Feb 09th, 2012 - 08:34 pm - Link - Report abuse 0Right or wrong, the real reason is to get all money into banks, where the government can more easily tax it.
Feb 09th, 2012 - 09:46 pm - Link - Report abuse 0I think a 50% fee on every Euro or US dollar will do a better job keeping investors working in pesos, It wasn't long ago when western union and foreign exchange dealers charged as much as 45% of the total for the services provided to dollar holders and people still used the dollar to wire money that was until the euro came in the picture. Argentina has to make it unprofitable for US dollar and Euro's to compete in Argentina if they really want Argentina peso's to succeed.
Feb 09th, 2012 - 09:48 pm - Link - Report abuse 0Pirate - Are you as thick as Marcos today. A currency will only suceed if there is natural strengh in the economy. your ideas are so dim they are an embarrasment to your mother.
Feb 09th, 2012 - 10:42 pm - Link - Report abuse 0Go ahead and place artificial taxes if you want. there will be a lucrative black market currency exchange market resulting in even more crime, corruption, and a further weakening of an already weak economy.
I see economics is not taught in argie schools very effectivly :-)
Curious thing that you still don't count a little thing called “raises”.
Feb 09th, 2012 - 10:45 pm - Link - Report abuse 0I think you all know, that a major source of revenue for the country are exportations. So if in 2011 a ton of soy was let's say 500 uss and now it's the same, the only difference is how many pesos you get for that dollars.
So how many pesos we get from that ton of soy is not the important thing. The dollars are.
So the goverment has more or less the same dollars. So it's the same wealth. If you convert salaries and prices to dollars at any given time from 2003 to the exchange rate(the one that should be, not the regulated one) at that time, you would see the value in dollars is very much the same.
So as the wealth is the same, whenever the exchange rate becomes wider, you just raise salaries. In dollars it would be the same thing.
The only bad thing is that continual devalluation takes away the confidence on the peso, and it makes trade competition more difficult. So that way you get a goverment which regulates the price of dollar by buying and selling it, so trade could be easier.
I see that the posters at 2, 3 and 9 are complete mongs and don't even know that the symbol for the peso is also $, thus the article they posted debunking Mercopress has in fact merely confirmed what Mercopress have published :) OOPs!
Feb 09th, 2012 - 11:48 pm - Link - Report abuse 0At least our govt tells us how crap the economy is, unlike in Argentina where they hide it and bang on about some non descriptive islands that 99.9% of the populace has never been to in order to divert attention from the fact the Argentine economy is now running on debt :)
the dictaror Critina is banning IPhones sales, Macs, what else, poor argentines they are beating the dust
Feb 10th, 2012 - 12:10 am - Link - Report abuse 0I don't have an iphone or ipad and guess what, I enjoy life more than you all who do. I actually notice life and the beauty of nature around me when I'm about.
Feb 10th, 2012 - 03:08 am - Link - Report abuse 0Must be a pretty sad existence, to have forgotten that.
wrong information and bad showed = LIE
Feb 10th, 2012 - 03:15 am - Link - Report abuse 0Pinochio Lorton is writing in Economy section of Mercopre$$ ?
27. You well know Argentina doesn't create any technology and it is all imported. So as the peso depreciates new technology gets further and further away for most of the population. No new technology means you are getting further and further behind the rest of the world, less and less competitive and productive. It is a bad road to go down and I don't see how CFK turns it around.
Feb 10th, 2012 - 03:20 am - Link - Report abuse 0Yankee boy, it is your opinion Argentina creates no technology.
Feb 10th, 2012 - 03:42 am - Link - Report abuse 0Funny, because my childhood house was just 3 miles away from IMPSA headquaters, world's leader in hydro electrical tech, and a world leader in wind power.
Of course I won't dare to say we can compare to the greatness of the USA in this regard, but I always wondered why people like you, who like to pick food fights over such things (my country is better than your country), still feel they need to LIE, when they would win the piss fight with truth!!
Would be like a New Zealander trying to deny the Tongans their victory against France in the Rugby world cup, to increase their superiority by 0.0005% over them. To me it's pretty sad.
@Colonel
Feb 10th, 2012 - 04:41 am - Link - Report abuse 0Wrong. They are being sold more than before. Go to the subway or the bus and see.
@tobias
Quite right. Even if we can have the stuff, most of us don't really need it to be happy. I never seen the UK made it to a chart of the most happy countries.
@yankee
All very nice words. Now back to real life. First of all we do create technology. A couple of people here would like to have a word with you. And even if we hadn't, if you had seen what technology we had 10 years ago, and the one we have now, you would understand why you are wrong. New technology makes it way here for three reasons. A)Internet shows you what's new. B)If Nokia doesn't bring new phones, then Sony can easily do so and improve their business. So all keep bringing it. C)If you don't bring new technology, you eventually sell less. That's not good for business, so you bring new stuff to sell.
@31,,'...They are being sold more than before. Go to the subway or the bus and see.....'
Feb 10th, 2012 - 05:15 am - Link - Report abuse 0That would be all the stolen stuff...what is it about dagoes and thieving...??
It may be genetic Frank, just like the anglos and their worldwide pedikiddy industry. 90% of the customers are toothless sajos.
Feb 10th, 2012 - 05:20 am - Link - Report abuse 033 tobias
Feb 10th, 2012 - 09:47 am - Link - Report abuse 0Well tobias, I used to admire you for your personal views and the way they were diseminated. I did not agree with most of what you said but could accept the manner in which you said it.
What went wrong? I have just read your posts on this topic and they are little better than the idiots like Ogara, Think, the fabled Yuleno.
I am so disappointed. I am reading less and less of these posts because there are so few Argie posters who understand finance and monetary sytems but just spout wacky ideas and are proud of their deluded thoughts.
30. Its not my opinion it is fact, Argentina is #57 in patents and THE WHOLE COUNTRY had 200+/- patent applications yearly for at least the last 10 years. If you are making all of this technology are you giving away the rights? Maybe that is why you only export 1B+/- year. Which is most likely stuff mfg'ed in Arg by foreign companies.
Feb 10th, 2012 - 12:00 pm - Link - Report abuse 0Plus I wasn't even talking about the “big” technologies where you probably have less than 1000 scientists working (hydro nuclear, energy. I am talking about everyday technology, laptops, ipads, 4G cell phones, as the peso depreciates they get further away in affordability for avg consumers. Which means the kids can't learn and will be stuck in 2011 for YEARS as the rest of us move on. Travel becomes more expensive because the exchange is too great so they can't even see what is out in the world. I see a very bleak future for Arg. It will be like the 50-80s where basically no one traveled and citizens were isolated. They didn't even know color TV existed until the 1978 World Cup!
Because none of you deserve “intelligent” discourse. Look at your comments towards me Chris:
Feb 10th, 2012 - 03:13 pm - Link - Report abuse 01. My position on the Falklands is that they should be left alone, and unharrassed.
2. I agree that the CFK is on the wrong economic track.
Yet you disagree with most of what I say. How can that be? My positions on those two key issues are your positions. The only reason you disagree with me is because I'm “argie”. You have become so jaded that even with contributors that may agree with you on a lot, you can't help but focus on the nitty-gritties. Only posters like Xbarilox, who blast absolutely everything about Argentina, are “objective” to you. May I submit you have lost complete perspective.
So even if intelligent posters like you have gone so off the deep end of rational thought, I'm waiting my fingers being cerebral. The fact that you actually say all of what you say about people of Argentina and have yet never been there is proof of how warped you've gotten. You would be the first to say that most people in Argentina should get to know the Falklanders before they speak of them, and within the same sentence will condemn all Argentines when you have never met any in their country.
I'm sorry but I can't deal with such blatant mindlesness.
And to racist posters like Frank, they deserve even less. What I said is the truth, most pediphile customers are sajos. I was responding to his beautiful remarks. The fact that you choose to condemn me and not his comment tells everything about your morals.
36 tobias
Feb 10th, 2012 - 05:32 pm - Link - Report abuse 0Is 'pediphile' what in Espanol would be 'pedofilia' and in English 'paedophile'?
Because if it is then I WILL NEVER RESPOND TO YOU AGAIN.
BTW I don't confuse the moronic Argie bloggers with the Argentinian people. You know I have an Argentine family as our friends and neighbours and I talk to him about BA in general. And I listen to him before anyone on here, because I do happen to trust him.
Yes, it is pedophilia sorry the i is right next to the o and, I apologize.
Feb 10th, 2012 - 05:41 pm - Link - Report abuse 0So I guess that's that. Dagoes are thieves, Sajos are pedos, Krauts are nazis, French are smelly frogs, and well... One big happy family.
Most argentine ex-pats are completely unreliable because they will only speak ills of the country. That does not mean they are not giving factual accounts, but either they are grossly exagerated or embellished. Their accounts are about as objective as the pro-CFK accounts.
If there is one thing I do hate Argentines for is their melodramatic streak. Everything is the best or the worst. If you really know Argentines at all, you would know that is also a trait. Given that, you would expect whatever they say is slightly unfocused. I try to get away from that.
Argentina is neither what the ex-pats or anti-CFK crowd claim, nor what the Kirchnerists say. Is that really that hard for you to admit?
38 tobias
Feb 10th, 2012 - 06:15 pm - Link - Report abuse 0I accept your apology, thank you.
“Argentina is neither what the ex-pats or anti-CFK crowd claim, nor what the Kirchnerists say. Is that really that hard for you to admit?” NO IT IS NOT, I ACCEPT IT.
What I do find difficult to accept however is that 36.6% of the eligible vote actually voted for CFK. I am led to believe by Argentinian bloggers that the poor have been 'raised up' significanlty by CFK. If that is so I can understand how they would see her as a asset to them personally and misunderstand what was the likely outcome to her policies.
I cannot say I have noticed the 'melodramatic streak' in my next door neighbour. In fact I see him as no different to us: he and his family are polite, considerate and more than willing to help us out when we have difficulties in dealing with language problems.
I am human, and sometimes I react, mainly to freely distributed racist comments. Until today I had controlled it but none of us are perfect. I really don't take the comments too seriously, but on rare occassions one feels that a tit-for-tat is warranted.
Feb 10th, 2012 - 06:34 pm - Link - Report abuse 0Argentina is a country that is being grabbed by the balls bt the CGT, and will hold general strikes at will when a government is of the opposition. Until that changes, I don't see much changing. Labor Unions are in principle good causes, but the problem is that when the investors and management are the ones that run the planet (sadly), forcing countries to engage in a race to the bottom for their long-term capital, is difficult to deal with growth and jobs without seemingly trimming workers rights, which is what is happening everywhere in the world.
The capitalist system is playing a risky game, if they push too far, the whole planet may become an “Argentina”. Yes, business are only in business to make money, but at some point self-preservation (to be able to make more money in the future), would suggest the game needs to be a little more balanced than it is today between labor and capital, or those with the capital lose tipping things to the point of no return. There is a worldwide populist streak (in the USA, in Europe, the Arab Spring, in China)... this is no coincidence. I'm not in support of populism, I just wish capitalism was a bit more consciencious.
The poor have been betrayed. It is the poor 30% that pay for the inflation. The upper class can invest in hard assets, the middle-class, if they hold businesses or trades, simply increase prices for the products they sell or for their skills. It is the poor, under fixed incomes, that are sucking it up. They are the ones that tend to universally vote for the peronists, somewhat like blacks in the USA tend to vote in block. And both groups are forfeiting their power because they are taken for granted.
For argies something is either best or worst, its annoying
40 tobias
Feb 10th, 2012 - 09:26 pm - Link - Report abuse 0The real problem with capitalism is it is not being allowed to operate freely. The FEDS, the UK via the Bank of England and the EU are doing their best to 'support the goverment (in reality the banks and Wall St.) by printing money and calling it quantative easing, coined by the Bastard Gordon Brown the most execrable Prime Mister ever, and we have had a few.
All this messing with the market will not work. 'Mr. Market' will eventually destroy all the bad investments, investors will lose money and governments like Greece will default. THEN there will be a return to the true value of things and the worlds economies will start to get better.
Had this been done in the beginning the UK would not owe so much money.
41 ChrisR, you are so right on. Capitalism is not bad, it's debt based capitalism that is destroying the world. Argentina is just one of the many victims and it seems they don't know how to deal with it and how to protect themselves. Maybe they do, but they're getting a road block.
Feb 10th, 2012 - 10:23 pm - Link - Report abuse 0I really thought we were about to see something really big happen with Mercosur. There was about to be organized a South American trading block, that would have allowed all SA countries to engage in foreign trade amongst themselves, using their own currencies. This could be a huge step toward breaking up the money mafia cartel running out of New York and London City. Certainly would take a little of the wind out of the BIS's sails (Bank for International Settlements - a Rothchild bank)..
I'm not quite sure what Brits expected, by electing a former Chancellor of the Exchequer to be PM. The guy is all but officially married to London City and the Rothchilds.
The real problem for the entire world is, we've been brainwashed and bribed into putting our eggs into the Keynesian economics basket. The idea is that “governments” make economic activity happen, by overspending, then borrowing to make up the difference. The banks use that “loan” they just made as an “asset” and create money out of thin air, and loaning it all over again. Not a very complicated deception, but they've gone to great lengths to keep it a “secret” from the average Joe.
Austrian economics, which we followed pretty much up into the early 1800's, rather insures the supply of money cannot grow faster than the natural demand from goods. It's done by avoiding interest. Instead, “discounts” are applied to money loaned and loans were secured by something called “Real Bills” (look it up). Basically, loans only went out to about 90 days or so and they were secured by the materials used to make then end product.
Basically, dramatic booms didn't happen and busts were shallow and short. Gold and silver helped too.
Tobias, you are so right. Money should represent economic activity. But the real one. A service, a good, infraestructure. Not a loan.
Feb 11th, 2012 - 12:18 am - Link - Report abuse 0If money only represents this real activity, then borrowing and debts are okay. Even the goverment ones. And that's it.
Speculation and the stocks markets are the disease. That's the wrong part of capitalism.
42 laceja
Feb 11th, 2012 - 10:11 am - Link - Report abuse 0“I'm not quite sure what Brits expected, by electing a former Chancellor of the Exchequer to be PM. The guy is all but officially married to London City and the Rothchilds.”
WE DID NOT HAVE A CHANCE TO VOTE 'FOR' THIS FCUKING BASTARD. WE DID NOT VOTE HIM IN!!
The British system is you vote for your regional representative (usually by party) and the biggest party elected takes overall power. The leader of the party becomes PM (the Bastard Blair as he was known was the first New Labour PM). When he 'got out of Dodge' because he had little support in his party (over the WMD lies) the party elected a new leader - Brown.
The real problem was not loaning more money than they had on deposit: it has been that way for centuries. THEY LOANED THE MONEY TO THE WRONG PEOPLE.
People who could never pay it back. Obahma was the instigator when he was a Senator. He forced through a Bill that made Freddie and Fannie MAC loan to poor people, mainly blacks (of course - I wonder why he did that) and they jumped at the chance of owning their own house. The first sign of a downturn and they could not pay their mortgage: and then it snowballed.
These mortgages were the constituents of the much vaulted mathmatical 'high earnings' offerings from Wall St. Then the FED really fcuked it up by QE bigtime.
It will only be when all the 'bad loans' are crushed that the economy will recovery. Investors will lose money and banks will fail (small banks have been failing for three years in the states). Until that happens the 'Japanese effect' will rule the roost.
'Mr. Market' will decide what happens. NOT the Feds or the UK Bank or the ECB, believe me.
Sorry, ChrisR. Obviously, I have no idea of how the political system works in Britain. Doesn't sound like it works out any better than in the US. Problem in the US is, the voters understand only too well, that they can vote themselves incredible “benefits”, so they vote for the big spenders. There doesn't really seem to be any way out for the US, because of the “two party system”. Basically, the big banking money power, led by the Rockefellers, are able to insure only their guys become candidates of both parties. So, it really doesn't matter who gets elected. There's been a movement to start from the bottom, so in maybe 20 years or so, things might change.
Feb 11th, 2012 - 02:14 pm - Link - Report abuse 0You can bet, I'm more than willing to jump on any band wagon that points a huge finger at the Fed and many on wall street, especially JP Morgan and Goldman Sachs. But, I'm not at all willing to give London City a free ride on this. They've been in cahoots for centuries. Between the Rockefellers and the Rothchilds, we get nothing but more wars, designed to transfer more and more of the wealth to their pockets.
China and Japan have recently cobbled together a trading block of all ASEAN countries and I was hoping to see Mercosur do the same. That along with the world switching away from oil for dollars to oil for gold would put a dent into the Rothchilds BIS and begin to reduce their (Rockefellers and Rothchilds) power. My opinion is, this world can only have peace, when those two have lost control. So, I agree with you. The Fed, ECB, and London City ARE the problem and only a truly free market will fix us. I live in a cash based society, so it will be easier for me. Don't know just how difficult it will be for those, who've become so accustomed to paying with plastic.
45 laceja
Feb 11th, 2012 - 03:38 pm - Link - Report abuse 0Yes, I agree we need to get away from the USD, BUT INTO WHAT?
Listen, people on this planet will use literally “anything” that can “represent” value. Money is nothing more than a portable representation of trading value. If we decide and agree that one sea shell represents a gram of silver, then its value is one gram of silver. People on this planet have been using beads, stones, shells, even sticks (remember where the stock market idea originated). It really doesn't matter. The problem is, whatever is eventually settled upon, its quantity must be finite and controlled. That's the real reason the world seems to always return to gold and silver... it takes a lot of hard work to get it out of the ground and they cannot be created artificially.
Feb 11th, 2012 - 08:53 pm - Link - Report abuse 0The problem I see is, the Rockefellers and Rothchilds are pushing this thing over a cliff in order to convince us we really need a single currency for the entire world. Of course, their plan is, they will be the ones to control it. Of course, they won't officially be in control, but, just as they do now, they'll control those who do control it. And, of course, you will have to have a bank account to get and use any of it. BTW, that new currency will likely be based on the IMF “Special Drawing Rights”.
I think eventually, we'll end up going back to very simple “money” that folks agree on and we'll probably start to be more cash oriented. Frankly, if people would move faster toward a cash society, this whole thing could be headed off.
47 laceja
Feb 11th, 2012 - 11:44 pm - Link - Report abuse 0Excellent definition of money in the first paragraph.
Regrettably for now, and the immediate forseable future, if you want to buy oil you need US dollars. Some deals have been done in other currencies but very few.
The spot market works only in USD.
It has been mooted that the BRICS could join forces and come up with their own unit of currency but that is rather fanciful given the nature of the BRICS.
If YOU come up with something give me a heads up please!
ChrisR, I have opinions, but that's about it. My crystal ball's pretty fuzzy. For some real insight, check out The Daily Bell. In many cases, you need to just read past their aggrandizement and repetition, but there's some good info there. If I have a revelation or stumble upon something I can prove with hard evidence, you can bet I'll be shouting very loud! It's a pleasure sir.
Feb 12th, 2012 - 12:43 am - Link - Report abuse 0Commenting for this story is now closed.
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